Free Owner Operator Lease Agreement PDF Template Open Owner Operator Lease Agreement Editor Here

Free Owner Operator Lease Agreement PDF Template

The Owner Operator Lease Agreement is a crucial document that outlines the relationship between a Carrier and an Owner Operator in the transportation industry. This agreement sets forth the terms and conditions under which the Owner Operator will transport goods for the Carrier, ensuring compliance with applicable laws and regulations. Understanding this agreement is essential for both parties to establish clear expectations and responsibilities in their business relationship.

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Key takeaways

When filling out and using the Owner Operator Lease Agreement form, it is essential to consider the following key takeaways:

  • Accurate Information: Ensure all parties' names, dates, and relevant details are filled out accurately to avoid any misunderstandings.
  • Permits and Compliance: The Owner Operator must secure all necessary permits and comply with applicable laws. This includes providing proof of compliance when requested by the Carrier.
  • Written Modifications: Any changes to the agreement must be documented in writing and signed by both parties to be valid.
  • Liability Assumption: The Owner Operator assumes full liability for the goods during transportation, including any loss or damage that may occur.
  • Insurance Requirements: The Owner Operator must maintain adequate insurance coverage as specified in the agreement, including cargo and personal injury insurance.
  • Confidentiality Obligations: The terms of the agreement and any related business information must remain confidential unless written consent is obtained from the Carrier.
  • Receipt of Goods: The Owner Operator should provide written receipts upon receiving goods, which serve as evidence of their condition at the time of receipt.
  • Termination of Previous Contracts: This agreement nullifies any prior contracts between the parties regarding the transportation of goods, establishing a fresh start in their working relationship.

Owner Operator Lease Agreement Preview

OWNER OPERATOR LEASE AGREEMENT

THIS agreement, entered into this ____day of ______________20___ between

______________________, (Hereinafter designated as “Carrier”), and

______________________, (Hereinafter designated as “Owner Operator”),

WITNESSETH:

WHEREAS, Owner Operator is engaged in the transportation of general freights of all kinds (FAK) by motor vehicle as a contract Carrier and desires to transport goods for Carrier; and WHEREAS, to facilitate such transportation and for the convenience in handling such transaction, the parties have agreed to the terms and conditions under which transportation shall be made, as hereinafter set forth.

NOW THEREFORE, in consideration of the premises and the mutual promises and conditions herein contained it is hereby agreed as follows:

(1) GENERAL PROVISIONS:

(a)Owner Operator, in its operations hereunder, shall secure all permits, licenses and approvals necessary for the accomplishment of the work to be done hereunder and shall comply fully with all applicable laws, rules, orders and regulation of all governments and agencies thereof, whether federal, state or local, and shall furnish Carrier with satisfactory evidence thereof whenever requested to do so. Among other things, Owner Operator shall provide to Federal Motor Carrier Safety Administration certificate showing Owner Operator holds contract authority from such commission covering the commodities and transportation routes to which this agreement relates, and Owner Operator shall give immediate notice to Carrier of any cancellation or modification of such authority. When transporting hazardous wastes, substances to or materials pursuant this agreement, Owner Operator shall comply with all applicable federal, state and local hazardous wastes, substances or materials laws and regulations and shall furnish Carrier with satisfactory evidence thereof whenever requested to do so.

(b)The Owner Operator hereby agrees to deliver for the Carrier for transportation, not less than the following amount: one shipment of freight of all kinds (FAK) during a period of

____________________. The Owner Operator further agrees, subject to availability and loading tendered for transportation by Carrier.

(c)All such cargo shall be transported hereunder in accordance with this agreement and the provisions of Carrier’s tariff’s or service contracts applicable to such cargo. Cargo shall include any containers in which goods are packed when received by Owner Operator hereunder.

(d)This agreement shall not be modified or altered unless in writing, signed by both parties to this agreement.

(e)This contract shall terminate all previous contracts between the parties hereto relating to the transportation Freight all kinds (FAK) and shall remain in full force and effect for the term of this agreement.

(f)It is to be clearly understood and it is the intention of the parties hereto that Owner Operator shall employ all persons operating trucks hereunder, that such persons shall be and remain the employees of the Owner Operator, that the Owner Operator shall be an independent contractor of the Carrier and that nothing herein contained shall be construed to be inconsistent with that relation or status.

(g)It is further to be clearly understood that where the Owner Operator engages any

subcontractor for any portion of the work hereunder, such engagement will not alter the relationship of the Owner Operator to the Carrier as an independent contractor and shall not establish any relationship or obligation between Carrier and any subcontractor. Owner Operator will continue to be solely responsible for compliance with or performance for any subcontractors actually doing such work and will otherwise defend, indemnify and save harmless the Carrier, its agents and servants from any such claims, liabilities, penalties and fines (whether criminal or civil), judgments outlays and expenses (including attorney’s fees).

(h)Owner Operator shall defend, indemnify and save harmless the Carrier, its agents and servants from any and all liabilities, penalties and fines (whether criminal or civil), judgments, outlays and expenses (including attorney’s fees) resulting from Owner Operator’s failure or the failure of Owner Operator’s agents, employees, subcontractors or representatives to comply with any applicable laws and regulations, whether federal, state or local, or property arising out of the performance of this agreement caused by the acts, failure to act or negligence of Owner Operator, subcontractors, its agent, employees, or representatives.

(i)Owner Operator will assume all liability for and will otherwise defend, indemnify and save harmless the Carrier, its agents or servants from any and all liabilities, penalties and fines (whether criminal or civil). Judgments, outlays and expenses (including attorney’s fees) resulting from any release or discharge of hazardous wastes, substances or materials that occurs during transportation and Owner Operator will assume all responsibility and liability for cleanup of any release or discharge of hazardous wastes, substances or materials that occurs during transportation and will otherwise defend indemnify and save harmless the Shipper, its agents and servants from any and all liabilities, penalties and fines (whether criminal or civil), judgments, outlays and expenses (including attorney fees) resulting from the cleanup of any such release or discharge.

(j)Owner Operator will defend, indemnify and save harmless the Carrier, its agents and servants from any and all liabilities, penalties and fines (whether criminal or civil in nature), judgments, outlays and expenses (including attorney’s fees) resulting from the Owner Operator’s failure or the failure of Carrier’s agents, employees, subcontractors or representatives to perform any of the terms, conditions, promises or covenants contained in this contract.

(k)Carrier shall have full responsibility for all payments, benefits, and rights of whatsoever nature to or on behalf of any of its employees and to ensure that its subcontractor shall have the same responsibility.

(l)It is further agreed by the parties hereto that Owner Operator is not to display the name of Carrier upon or about any of the Owner Operator’s vehicles, without Carrier’s written consent.

(m)Any limitation on or exemption from liability in any tariff, receipt, bill of lading, or other document issued by or on behalf of Owner Operator shall have no legal effect and shall not otherwise apply with respect to shipments tendered by or on behalf of Carrier unless specifically agreed in writing by the Owner Operator. Any limitations on or exemptions from liability contained in a Owner Operator’s tariff, receipt, bill of lading, or other document issued in conjunction with a specific shipment moving under this Contract shall have no legal effect and shall not otherwise be applicable to such shipments.

2.RECEIPTS OF GOODS:

(a)Owner Operator agrees, upon receipt from Carrier of such quantities of Carrier’s goods as may be tendered from time to time under this agreement by Carrier or by a third party on behalf of Carrier to give Carrier a written receipt thereof, which shall be prima facie evidence of receipt of such goods in good order and condition unless otherwise noted upon the face of such receipt; and, in the case of transportation of hazardous wastes, substances or materials such written receipt shall be prima facie evidence of receipt of such wastes, substances or materials in a condition and manner which complies with all applicable laws and regulations, whether federal, state or local. In the event that Owner Operator elects to use a tariff, bill of lading, manifest or other form of freight receipt or contract, any terms, conditions and provisions of such bill of lading, manifest or other form shall be subject and subordinate to the terms, conditions and provisions of this Agreement, and in the event of a conflict between the terms, conditions and provisions of such tariff, bill of lading, manifest or other form and this Agreement, the terms, conditions and provisions of this Agreement shall govern.

(b)Owner Operator agrees to take signed receipts upon forms satisfactory to Carrier from all persons to whom deliveries shall be made, which receipts shall be retained by Owner Operator for at least two (2) years and shall be available for inspection and use of Shipper.

3. CARE AND CUSTODY OF MERCHANDISE:

(a)Owner Operator hereby assume the liability of an insurer of the prompt and safe transportation of all goods entrusted to its care, and shall be responsible to Carrier for all loss or damage of whatever kind and nature and howsoever, caused to any and all goods entrusted to Owner Operator hereunder occurring, while same remains in the care, custody or control of Owner Operator or to any other persons to whom the Owner Operator may have entrusted said goods and before said goods are delivered as herein provided or returned to Carrier.

(b)On occasion, Owner Operator will be requested to transport reefer cargo refrigerated containers. On all occasions, refrigerated containers must be transported with an attached generator set (nose mounted or under-slung) unless specifically advised by Carrier in writing that a generator set is not required. It is the Carrier’s responsibility to ensure a generator set is attached and running properly at the assigned temperature at the time of interchange.

4. INSURANCE:

(a)Owner Operator agrees to be a motor Carrier member in good standing in the Uniform Intermodal Interchange Agreement (UIIA). Owner Operator further agrees to comply with the insurance requirements of the Federal Motor Carrier Safety Administration and the states through which the Owner Operator operates. Owner Operator’s insurance coverage shall, at a minimum, comply with the minimum requirements as stated in the UIIA.

(b)The Owner Operator agrees to carry cargo, personal injury, death, equipment and general insurance and will promptly reimburse Carrier for the value of any goods (including containers) lost or destroyed during the period of Owner Operator’s responsibility under clause (3) (a). All such insurance shall be as additional insured.

(c)The Owner Operator agrees to provide the UIIA with appropriate certification and a copy of each policy of insurance and renewals thereof or other satisfactory evidence that Owner Operator has obtained insurance in compliance with the requirements and terms of this agreement.

(d)The Owner Operator will arrange with its broker and/or insurance Carrier(s) that notice of coverage and limits will be sent directly to the UIIA, as well and cancellation notices and

amendments to coverage(s).

5. ASSIGNMENTS:

This contract cannot be assigned by Owner Operator without the written consent of Carrier.

6. COMPENSATION, COMMODITIES, TERRITORY:

(a)Acceptable rates and charges, rules and regulations, the commodities to be transported, and the points from and to which they shall be transported, are to be furnished the Carrier, the Federal Motor Carrier Safety Administration and other regulatory bodies as may be required, as set forth in the rate schedule attached hereto and made a part hereof. Carrier agrees to pay Owner Operator as full compensation for services to be performed by Carrier under said rules and regulations the rates and charges set forth in the rate schedule, within sixty (60) days of invoice date.

(b)This agreement is to become effective upon signature by Carrier and Owner Operator.

7. CONFIDENTIALITY:

Owner Operator shall treat as confidential, and not to disclose to third parties, the terms of this agreement or any information concerning the Carrier’s business including information regarding suppliers, products and customers without in each instance obtaining Carrier’s written consent in advance.

8. NOTICES:

All notices given pursuant to this agreement shall be given in writing by certified or registered mail, return receipt requested, and addressed as directed by the parties from time to time.

CARRIER: ______________________________________________________________

9. APPLICABLE LAW:

To the extent state law applies, this agreement shall be governed by and interpreted in accordance with the laws of the state of ____________________.

SIGNATURES

OWNER OPERATOR

_______________________________

NAME

CARRIER

_______________________________

NAME

Similar forms

The Owner Operator Lease Agreement shares similarities with a Freight Broker Agreement. Both documents outline the relationship between two parties involved in the transportation of goods. In a Freight Broker Agreement, the broker acts as a middleman between shippers and carriers, while the Owner Operator Lease Agreement establishes a direct relationship between the carrier and the owner-operator. Each document specifies the responsibilities of the parties, including compliance with laws and insurance requirements, ensuring that both parties understand their obligations in the transportation process.

Another document akin to the Owner Operator Lease Agreement is the Bill of Lading. This document serves as a receipt for goods and a contract for transportation. Like the Owner Operator Lease Agreement, it outlines the terms of transportation, including the responsibilities of the parties involved. The Bill of Lading also provides evidence of the condition of the goods at the time of receipt, similar to how the Owner Operator is responsible for the safe transportation of goods entrusted to them.

The Equipment Lease Agreement is also comparable to the Owner Operator Lease Agreement. This document governs the rental of equipment, often used in conjunction with transportation services. Both agreements detail the responsibilities of the parties, including maintenance and liability for the equipment or goods being transported. They emphasize the need for compliance with regulations and the importance of insurance to protect against potential damages.

For individuals engaging in the sale of a motorcycle, understanding the necessary documentation is key to a smooth transaction. Similar to other agreements, the Vehicle Bill of Sale Forms are essential for outlining the terms and conditions agreed upon by both the buyer and seller, providing legal protection and clarity for both parties involved.

A similar document is the Independent Contractor Agreement, which outlines the relationship between a company and an independent contractor. Like the Owner Operator Lease Agreement, this document specifies that the contractor is not an employee of the company but operates independently. It includes terms related to compensation, responsibilities, and compliance with laws, ensuring both parties are clear on their roles and obligations.

The Transportation Services Agreement is another document that bears resemblance to the Owner Operator Lease Agreement. This agreement establishes the terms under which transportation services will be provided. It includes details about rates, responsibilities, and compliance with applicable laws, similar to the provisions found in the Owner Operator Lease Agreement. Both documents aim to clarify the expectations and obligations of the parties involved in the transportation process.

The Master Service Agreement (MSA) is also relevant. An MSA outlines the general terms and conditions for a long-term relationship between parties, often used in various industries, including transportation. Like the Owner Operator Lease Agreement, it addresses liability, compliance, and the responsibilities of each party. The MSA can serve as a framework for multiple transactions, while the Owner Operator Lease Agreement typically focuses on a specific transportation arrangement.

The Carrier Agreement is another document that aligns closely with the Owner Operator Lease Agreement. This type of agreement outlines the terms under which a carrier will transport goods for a shipper. It includes details about payment, liability, and compliance with regulations, mirroring the provisions found in the Owner Operator Lease Agreement. Both documents ensure that the roles and responsibilities of the parties are clearly defined.

The Service Level Agreement (SLA) is similar in that it defines the expected level of service between a service provider and a client. While it may not focus solely on transportation, it establishes metrics for performance and compliance. Like the Owner Operator Lease Agreement, an SLA emphasizes the importance of meeting specific standards and may include penalties for failing to meet those standards, ensuring accountability from both parties.

The Non-Disclosure Agreement (NDA) is another related document. While it primarily focuses on confidentiality, it shares similarities with the confidentiality provisions found in the Owner Operator Lease Agreement. Both documents emphasize the importance of protecting sensitive information and outline the obligations of the parties to keep certain details confidential, ensuring that proprietary information remains secure.

Lastly, the Subcontractor Agreement is relevant, especially in the context of the Owner Operator engaging subcontractors for transportation services. This document outlines the terms under which a subcontractor will operate, similar to how the Owner Operator Lease Agreement defines the relationship between the carrier and the owner-operator. Both agreements ensure clarity regarding responsibilities, compliance, and liability, safeguarding the interests of all parties involved.

How to Use Owner Operator Lease Agreement

Filling out the Owner Operator Lease Agreement form requires careful attention to detail. This document outlines the terms and conditions between the Carrier and the Owner Operator. Ensuring all sections are completed accurately is crucial for a smooth partnership. Follow the steps below to complete the form correctly.

  1. Write the date at the top of the form in the blank space provided, using the format ____ day of ______________ 20___.
  2. In the first blank space, fill in the name of the Carrier.
  3. In the second blank space, fill in the name of the Owner Operator.
  4. Indicate the period for which the Owner Operator agrees to deliver freight in the section that specifies “not less than the following amount: one shipment of freight of all kinds (FAK) during a period of ____________________.”
  5. Ensure that all necessary permits, licenses, and approvals are secured and that compliance with applicable laws is confirmed as required in the General Provisions section.
  6. Provide the required evidence of compliance with the Federal Motor Carrier Safety Administration, including any necessary certificates.
  7. Complete the Receipts of Goods section by agreeing to give Carrier a written receipt for all goods received, noting any exceptions on the receipt.
  8. In the Care and Custody of Merchandise section, acknowledge the assumption of liability for the safe transportation of all goods entrusted to the Owner Operator.
  9. Fill in the insurance requirements in the Insurance section, ensuring compliance with the Federal Motor Carrier Safety Administration and UIIA standards.
  10. In the Assignments section, note that the contract cannot be assigned without written consent from the Carrier.
  11. Complete the Compensation, Commodities, Territory section by providing the rate schedule and confirming the effective date of the agreement.
  12. In the Confidentiality section, agree to keep the terms of the agreement confidential.
  13. Provide the necessary notices as directed in the Notices section, ensuring they are sent in writing by certified or registered mail.
  14. Fill in the applicable state law governing the agreement in the Applicable Law section.
  15. Finally, both the Owner Operator and Carrier should sign and print their names at the bottom of the form.

Documents used along the form

When entering into an Owner Operator Lease Agreement, several other forms and documents may be necessary to ensure a comprehensive understanding and compliance with all legal obligations. Below is a list of commonly used documents that often accompany the lease agreement. Each document serves a specific purpose in the transportation and logistics industry.

  • Bill of Lading: This document serves as a receipt for the goods being transported. It outlines the details of the shipment, including the type of goods, destination, and terms of transportation.
  • ADP Pay Stub: The pdfdocshub.com/adp-pay-stub-online form summarizes an employee's earnings and deductions, aiding in understanding compensation details such as gross pay and tax withholdings.
  • Insurance Certificates: These documents provide proof of insurance coverage for the Owner Operator. They detail the types of insurance held, such as cargo and liability insurance, ensuring compliance with industry regulations.
  • Freight Rate Agreement: This agreement outlines the rates and charges for transporting goods. It specifies the compensation the Owner Operator will receive for services rendered under the lease agreement.
  • Uniform Intermodal Interchange Agreement (UIIA): This document establishes the terms under which equipment is interchanged between motor carriers and intermodal equipment providers. It ensures compliance with industry standards.
  • Driver Qualification File: This file contains essential information about the driver, including their qualifications, training records, and driving history, ensuring compliance with federal regulations.
  • Permits and Licenses: These documents are necessary for legal operation. They include state and federal permits required for transporting specific types of cargo, such as hazardous materials.
  • Subcontractor Agreements: If the Owner Operator engages subcontractors, these agreements outline the terms of the subcontracting relationship, ensuring clarity and compliance with the primary lease agreement.
  • Maintenance Records: These records document the maintenance and repairs performed on the vehicles used for transportation. They are crucial for ensuring safety and compliance with regulations.
  • Delivery Receipts: Upon delivery of goods, these receipts are obtained from the consignee. They serve as proof of delivery and confirm that the goods were received in good condition.
  • Confidentiality Agreement: This document ensures that sensitive information regarding the Carrier’s operations, clients, and business practices is kept confidential and not disclosed to unauthorized parties.

Utilizing these forms and documents in conjunction with the Owner Operator Lease Agreement helps establish a clear framework for responsibilities and expectations. This ensures a smoother operation and compliance with all applicable laws and regulations.

Common mistakes

  1. Incomplete Information: Failing to fill in all required fields, such as the date or names of the parties involved, can render the agreement invalid.

  2. Incorrect Dates: Entering the wrong date can lead to confusion about the agreement's effective period and obligations.

  3. Missing Signatures: Not signing the document or ensuring both parties sign can lead to disputes about the agreement's validity.

  4. Ignoring Local Regulations: Not verifying compliance with local laws and regulations can result in legal penalties.

  5. Failure to Provide Evidence: Not supplying necessary documentation, such as permits or insurance certificates, can breach the agreement.

  6. Misunderstanding Liability: Overlooking liability clauses can leave the Owner Operator exposed to unexpected legal responsibilities.

  7. Omitting Confidentiality Clauses: Not recognizing the importance of confidentiality can lead to unauthorized disclosures of sensitive information.

  8. Incorrect Rate Schedule: Failing to attach or accurately fill out the rate schedule can result in payment disputes.

Dos and Don'ts

Things You Should Do:

  • Read the entire Owner Operator Lease Agreement thoroughly before filling it out.
  • Provide accurate and complete information in all sections of the form.
  • Ensure you have all necessary permits and licenses before signing.
  • Keep a copy of the signed agreement for your records.
  • Communicate any changes in your contract authority to the Carrier immediately.

Things You Shouldn't Do:

  • Do not leave any required fields blank.
  • Avoid using outdated or incorrect information when filling out the form.
  • Do not forget to sign and date the agreement.
  • Do not alter any terms of the agreement without written consent from the Carrier.
  • Do not disclose any confidential information without prior approval from the Carrier.